How does the pay-as-you-go pricing model benefit organizations?

  1. Eliminates need for budgeting
  2. Organizations only pay for resources actually consumed, reducing costs for variable or unpredictable workloads ✓
  3. Provides unlimited resources
  4. Guarantees lowest prices

Correct answer: Organizations only pay for resources actually consumed, reducing costs for variable or unpredictable workloads

Option B is correct because pay-as-you-go cloud pricing means organizations are billed only for the compute, storage, and network resources they actually consume during a billing period, which directly lowers costs for workloads with variable or unpredictable demand by eliminating the need to pre-purchase capacity for peak loads. Option A is incorrect because pay-as-you-go pricing does not eliminate the need for budgeting; organizations still need to forecast and govern cloud spend to avoid bill shock from uncontrolled resource usage. Option C is incorrect because cloud resources are not unlimited; every provider imposes service quotas and account limits, and costs scale with consumption. Option D is incorrect because pay-as-you-go does not guarantee the lowest absolute price; reserved instances, committed-use discounts, or on-premises solutions may be cheaper for stable, predictable workloads.

Topic: · cloud pricing, pay-as-you-go, cost optimization, google cloud

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